- Snap Inc. released its Q1 financial results this Tuesday topping market forecasts that were concerned with the pandemic’s effects on the company’s performance;
- The company recorded a 44% YoY growth in revenues and 20% in daily active users;
- A rising trend in social media, over 75% of Snapchat’s daily active users engage with augmented reality every day on average, says the report.
In spite of market expectations, that were forecasting sharp drops for ad-reliant social media firms due to the coronavirus outbreak, Snapchat‘s parent company Snap Inc. announced a handful of good news this Tuesday, 21st, in its Q1 financial results report.
Revenues reached as much as $462 million, topping Wall Street’s expectations of $430 million for the first quarter and bringing 44% more revenues compared to the same period of 2019. The number of daily active users, an important metric among digital apps, has also surprised analysts hitting 229 million, a 20% YoY gain, and placing above the 224.5 million users expected in Q1.
Among other highlights, Snap registered a 35% year-over-year increase in daily time spent by users watching content from the Discover platform inside the app.
Snap’s shares have plunged more than 30% since its previous earnings release, in a similar movement detected by other social media players amid a broader market fall. As the company is the first of the segment to report earnings for the quarter, its performance could shed a light on what might be the results for other players.